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Home My WebLink AboutRESO 10012 140527 6055571 Resolution No. 10012 Resolution of the Council of the City of Palo Alto to Authorize Participation in the California Arrearage Payment Program for Electric and Gas Utilities R E C I T A L S A. The State Budget Act of 2021, as established by Assembly Bill No. 128 (Chapter 21, Statutes of 2021) and as amended by Senate Bill No. 129 (Chapter 69, Statutes of 2021), provided $993,500,000 to the State Department of Community Services and Development (“Department”) to administer the California Arrearage Payment Program (CAPP) to reduce delinquent electricity and natural gas utility balances for customers experiencing financial hardships related to the economic impacts of the COVID -19 pandemic. B. Funding for CAPP is payable from the State’s share of the federal Coronavirus Fiscal Recovery Fund of 2021. C. Assembly Bill No. 135 (Chapter 85, Statutes of 2021) formally established the CAPP within the Department, enumerating the program’s requirements for utility participation and setting aside $298,953,250 for financial assistance to customers of local publicly owned electric and gas utilities. D. A local publicly owned electric utility is considered a utility applicant under CAPP and may apply to the department for CAPP funds for eligible customer accounts for past due bills during the COVID-19 pandemic bill relief period. E. Eligible customers are all residential and commercial customers. Past due bills mean any customer utility bills that are 60 days or more past due and includes both active and inactive accounts, as well as customer accounts that have payment plans or payment arrangements. The COVID-19 pandemic bill relief period means the period starting March 4, 2020 and ending June 15, 2021. F. City of Palo Alto Utilities (CPAU) is a local publicly owned electric and gas utility with eligible customer accounts with past due electric and gas bills during the COVID-19 pandemic bill relief period. G. To receive CAPP funding on behalf of eligible customers, a utility applicant must complete both a utility survey and application including submitting all necessary data and information to support the utility applicant’s request for CAPP funding. H. CPAU uploaded the completed Utility CAPP Survey to Department servers on September 9, 2021, supporting CPAU’s request for $1.13 million in customer electricity and natural gas arrearage funding. The Department requested additional documentation on December 16, 2021, which CPAU submitted on December 20, 2021. DocuSign Envelope ID: 07F465FB-D170-4EC3-9D27-F52B42AAFD17 140527 6055571 I. Because total utility funding requests from across the state exceeded the Department’s program budget, the Department is anticipated to grant 65% of CPAU’s requested funds. Upon the Department’s receipt of CPAU’s additional documents, the Department is anticipated to allocate to CPAU $735,969 of funding to apply to customer accounts, with $486,876 applying to electric accounts and $249,093 applying to gas accounts. J. CPAU is required to disburse funds as expeditiously as possible to utility applicants, but no later than January 31, 2022. K. Within 60 days of receiving CAPP funds, CPAU must issue CAPP Assistance benefits to customers as bill credits to help address the eligible past due balance and must include a statement that the credits are a result of California’s CAPP funding. Eligible CPAU customers need not apply for the program. L. Where CAPP funding is not sufficient to meet all need, CAPP requires CPAU to prioritize the issuance of CAPP assistance in a particular order. Assistance must go first to active residential customers who are past due and who, absent the CAPP assistance, might be subject to service disconnection, consistent with current law, due to nonpayment of balances incurred during the COVID-19 pandemic bill relief period. Second, assistance must go to active residential customers with delinquent balances incurred during the COVID-19 pandemic bill relief period. Assistance must then go to inactive residential accounts with delinquent balances incurred during the COVID-19 pandemic bill relief period. Last, assistance must go to commercial customers with delinquent balances incurred during the COVID-19 pandemic bill relief period. M. Assembly Bill No. 135 created customer protections to require a utili ty applicant to notify customers of the option to enter into an extended payment plan with late fees and penalties waived for any remaining balanced after CAPP funds are credited to the customer’s account, to refrain from discontinuing service while CAPP applications are pending, for 90 days after the CAPP benefit is applied to a customer account, and while a customer remains current on a repayment plan, and to waive associated late fees and accrued interest for customers awarded CAPP benefits. NOW, THEREFORE, the Council of the City of Palo Alto RESOLVES as follows: SECTION 1. The Council hereby approves CPAU’s participation in CAPP and authorizes the Director of Utilities or his designee to execute program participation on behalf of the City of Palo Alto. // // // // // DocuSign Envelope ID: 07F465FB-D170-4EC3-9D27-F52B42AAFD17 140527 6055571 // SECTION 2. The Council finds that the adoption of this resolution does not meet the definition of a project under Public Resources Code Section 21065, thus, no environmental assessment under the California Environmental Quality Act is required. INTRODUCED AND PASSED: January 10, 2022 AYES: BURT, CORMACK, DUBOIS, FILSETH, KOU, STONE, TANAKA NOES: ABSENT: ABSTENTIONS: ATTEST: __________________________ _____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: __________________________ _____________________________ Assistant City Attorney City Manager _____________________________ Director of Utilities _____________________________ Director of Administrative Services DocuSign Envelope ID: 07F465FB-D170-4EC3-9D27-F52B42AAFD17 Certificate Of Completion Envelope Id: 07F465FBD1704EC39D27F52B42AAFD17 Status: Completed Subject: Please DocuSign: RESO 10012 CA Elec and Gas Arrearage Payment Program.docx Source Envelope: Document Pages: 3 Signatures: 6 Envelope Originator: Certificate Pages: 5 Initials: 0 Danielle Kang AutoNav: Enabled EnvelopeId Stamping: Enabled Time Zone: (UTC-08:00) Pacific Time (US & Canada) 250 Hamilton Ave Palo Alto , CA 94301 Danielle.Kang@cityofpaloalto.org IP Address: 199.33.32.254 Record Tracking Status: Original 1/12/2022 2:39:52 PM Holder: Danielle Kang Danielle.Kang@cityofpaloalto.org Location: DocuSign Security Appliance Status: Connected Pool: StateLocal Storage Appliance Status: Connected Pool: City of Palo Alto Location: DocuSign Signer Events Signature Timestamp Amy Bartell Amy.Bartell@CityofPaloAlto.org Assistant City Attorney City of Palo Alto Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 199.33.32.254 Sent: 1/12/2022 2:42:06 PM Viewed: 1/13/2022 6:28:36 AM Signed: 1/13/2022 6:29:08 AM Electronic Record and Signature Disclosure: Accepted: 7/16/2015 5:52:40 AM ID: d8ecb53d-ef81-4016-8886-1560c48de42a Kiely Nose Kiely.Nose@CityofPaloAlto.org Director, Administrative Services/CFO City of Palo Alto Security Level: Email, Account Authentication (None) Signature Adoption: Uploaded Signature Image Using IP Address: 24.249.149.249 Sent: 1/13/2022 6:29:11 AM Viewed: 1/13/2022 1:42:52 PM Signed: 1/13/2022 1:43:04 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Dean Batchelor Dean.Batchelor@CityofPaloAlto.org Director of Utilities City of Palo Alto Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 199.33.32.254 Sent: 1/13/2022 1:43:06 PM Viewed: 1/13/2022 2:19:23 PM Signed: 1/13/2022 2:19:35 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Ed Shikada Ed.Shikada@CityofPaloAlto.org Ed Shikada, City Manager City of Palo Alto Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 98.37.254.249 Sent: 1/13/2022 2:19:36 PM Viewed: 1/13/2022 2:51:04 PM Signed: 1/13/2022 2:51:09 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Signer Events Signature Timestamp Pat Burt pat@patburt.org Mr Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 98.35.19.155 Sent: 1/13/2022 2:51:11 PM Viewed: 1/13/2022 5:31:28 PM Signed: 1/13/2022 5:31:41 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Lesley Milton Lesley.Milton@CityofPaloAlto.org City Clerk Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 199.33.32.254 Sent: 1/13/2022 5:31:43 PM Viewed: 1/20/2022 8:24:01 AM Signed: 1/20/2022 8:24:08 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign In Person Signer Events Signature Timestamp Editor Delivery Events Status Timestamp Agent Delivery Events Status Timestamp Intermediary Delivery Events Status Timestamp Certified Delivery Events Status Timestamp Carbon Copy Events Status Timestamp Witness Events Signature Timestamp Notary Events Signature Timestamp Envelope Summary Events Status Timestamps Envelope Sent Hashed/Encrypted 1/12/2022 2:42:06 PM Certified Delivered Security Checked 1/20/2022 8:24:01 AM Signing Complete Security Checked 1/20/2022 8:24:08 AM Completed Security Checked 1/20/2022 8:24:08 AM Payment Events Status Timestamps Electronic Record and Signature Disclosure CONSUMER DISCLOSURE From time to time, City of Palo Alto (we, us or Company) may be required by law to provide to you certain written notices or disclosures. 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